Most Canadians recognize energy security and energy policy as important topics for discussion. Beginning with the discovery of oil at Leduc Alberta in 1947, Canadian national energy policy formulation has run the gamut from laissez-faire continentalism, to a free-market based deregulated framework. Canada is a major trading nation. Moreover, for the past 75 years, the United States has been Canada’s largest trading partner and in terms of oil trade, 99 percent of Canadian oil exports go to the United States. Canada - U.S. interdependence is central to any discussion of Canadian foreign trade. This thesis examines the current and future state of Canadian crude oil exports, using the Keystone XL project as a case study. By referencing the Keystone XL pipeline, this research will attempt to determine whether interdependence in Canada – U.S. oil trade is actually a dependence which places Canada’s largest natural resource in a perilous position.